Which of the following is NOT true about the national income identity given by the equation:
A) If CA is positive, national saving finances the purchase of our goods by foreign users.
B) If CA is negative, our investment exceeds our national savings.
C) A negative CA may imply that foreigners have confidence in the U.S. economy.
D) If CA is negative and large, a country risks foreigners owning a large piece of its assets.
E) None of the above.
E
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Using the rule of 70, a sustained 3 percent per year real GDP growth rate will
A) last for 70 years. B) double the current level of real GDP in about 23 years. C) double the current level of real GDP in about 210 years. D) double the current level of real GDP in about 70 years. E) double the current level of real GDP in about 40 years.
Which of the following is poorest country?
A) Canada B) Mexico C) Haiti D) New Orleans